Hecla Mining Has Record Silver Production

 

COEUR D'ALENE, ID - Hecla Mining Company reported preliminary silver and gold production results1 for the fourth quarter and full year 2015 that exceeded the Company’s expectations. The results are due to strong performance from all three mines. In addition, the newly developed San Sebastian Mine in Mexico commenced commercial production late in the fourth quarter.

Despite a difficult metals market, Hecla’s production continues to grow, setting the 2nd consecutive annual silver production record, said Phillips S. Baker, Jr., Hecla’s President and CEO. All three mines exceeded guidance and San Sebastian has begun production. We are continuing to see results from our strategy of investing in production growth, causing our silver equivalent production to be the most in our 125-year history. This growth, along with cost controls and focused investment, puts Hecla in a good position now and when metals prices rebound.

At Greens Creek mine in Alaska annual silver production of 8.5 million ounces was the highest since 2007 when the annual tonnage was 11% lower and the grade was 13% higher (Hecla acquired 100% of the mine in 2008), and exceeded 2014 production by more than 600,000 ounces. Greens Creek’s fourth quarter production of 2.6 million ounces of silver was 4.4% higher than the fourth quarter 2014 production of 2.5 million ounces, and production of 17,198 ounces of gold was 12.5% higher than the fourth quarter 2014 production of 15,289 ounces. The mill operated at an average of 2,231 tons per day (tpd) in 2015.

The Lucky Friday in Idaho posted a strong increase in silver production over the fourth quarter as the new ventilation system enabled normal operations to resume. Lucky Friday’s fourth quarter production of 985,698 ounces of silver was 32.2% higher than the fourth quarter 2014 production of 745,766 ounces. Annual production of 3.0 million ounces of silver was 6.5% lower than the prior year. The mill operated at an average of 815 tpd in 2015.

Casa Berardi Mine in Quebec fourth quarter production of 42,282 ounces of gold was 7.4% higher than the fourth quarter 2014 production of 39,385 ounces, and represented the highest quarterly production since Hecla acquired the mine on June 1, 2013. Annual gold production was 127,891, a 0.3% reduction over the prior year. The mill operated at an average of 2,313 tpd in 2015.

The San Sebastian Mine in Durango, Mexico began processing ore on December 10, and produced its first dora on December 22. The mine produced 75,552 ounces of silver and 705 ounces of gold at year end.